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Nuclear risks an Liability for Nuclear Damage

Contracting within the nuclear sector , World Nuclear News, Elina Teplinsky and Vincent Zabielski  30 Jan 18,  “………..Liability for Nuclear Damage……… Geographical Coverage – Nuclear damage can be transboundary and there is no single international nuclear liability regime that covers all jurisdictions. The three international nuclear liability regimes – the Vienna Convention, Paris Convention and Convention of Supplemental Compensation for Nuclear Damage (CSC) – provide a patchwork of protections by channelling nuclear liability, yet each contains large geographical gaps in coverage. This means that, even though a customer country is party to a nuclear liability convention, a supplier could be sued for transboundary damage in a country that is not a member of that convention. Further, a number of major nuclear markets like China and the Republic of Korea are not party to any nuclear liability regime, maintaining only domestic legislation. Finally, protections can vary from jurisdiction to jurisdiction even among parties to the same nuclear liability treaty.

Significance of the Gaps – The risks arising out of the gaps in geographic coverage vary greatly. These risks are significantly related to plaintiffs’ economic incentives. Lack of coverage in a country where the vendor has significant access presents a greater risk than a gap in a country where the vendor has none. Further, plaintiffs may have little incentive to sue in countries where no nuclear damage compensation funds have been established. Finally, some jurisdictions (such as the United States) are more likely to allow suit with tenuous connections to the damage than others. For example, the Ninth Circuit allowed U.S. service members’ $1 billion lawsuit for injuries related to the Fukushima disaster to proceed against Tokyo Electric Power Company. ………


January 31, 2018 - Posted by | 2 WORLD, Legal

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